New Roads Ahead: Bipartisan Infrastructure Law Funding Announced
Client Alert | 2 min read | 10.19.22
Last week, the Department of Transportation (DOT) announced nearly $60 billion of funding available to states through DOT formula grant programs in fiscal year (FY) 2023. States may use these funds, authorized under the Bipartisan Infrastructure Law, to support critical infrastructure, including roads, bridges, and environmental and safety improvements. The FY2023 grant funds represent a substantial increase from FY2021. In particular, states will see an increase in grant funds for highway and bridge projects:
Significantly Increased Formula Program
|
Percentage increase over FY21 |
|
391% | |
|
146% | |
|
New | |
|
Highway Safety Improvement Program |
26% |
|
Metropolitan Planning Program |
25% |
|
Carbon Reduction Program |
New |
|
Promoting Resilient Operations for Transformative, Efficient, and Cost-Saving Transportation Formula (“PROTECT”) Program |
New |
|
National Highway Performance Program |
20% |
|
Surface Transportation Block Grant Program |
16% |
The Bipartisan Infrastructure Law also created three new programs to support carbon reduction, make transportation infrastructure more resilient to future weather events and other natural disasters, and promote use of electronic vehicles.
Companies interested in working on contracts under these grants should monitor infrastructure funding at the federal and state level to determine where, and how, it creates business opportunities. We are continuing to closely tracking the implementation of the Bipartisan Infrastructure Law to help clients navigate the unprecedented levels of infrastructure funding taking place this year, and over the next four years.
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